Types of Trusts To Consider When Estate Planning in Texas

 Posted on June 15, 2025 in Estate Planning

Arguably the most widely known estate planning document is the last will and testament. The will has been well featured on film and television, and indeed it lends itself well to drama thanks to the potential for will contests in probate. 

What passes for drama on television, however, is called a legal dispute by the law firms that represent clients during probate litigation, which is what happens when family members fight over the contents of a will. One way to avoid probate is to incorporate trusts into your estate plan. Trusts are not only for the wealthy; they can be a powerful estate planning tool for anyone. With the myriad options available to those crafting their estate plan, it helps to speak to an experienced Fort Worth, TX estate planning attorney about the trusts that would fit your goals best. 

What Are Key Trusts You Should Consider Incorporating Into Your Estate Plan?

Revocable Living Trusts

Incorporating a revocable living trust in your estate plan can help you retain control of your assets during your lifetime while avoiding probate. Beyond that, revocable living trusts provide other advantages such as flexibility to navigate changing family circumstances. They also allow you to maintain complete control during your lifetime. When you pass away, the successor trustee can immediately distribute assets to beneficiaries without court involvement. 

Irrevocable Life Insurance Trusts

If you have life insurance, an irrevocable life insurance trust (ILIT) can be a great way to maximize tax savings. Because you transfer ownership of your policies to the trust, upon your death the trust receives the insurance proceeds tax-free and can use them to pay estate taxes or provide liquidity to your heirs. ILITs also protect life insurance proceeds from creditors, which can really help you ensure that the proceeds are used as intended–for the care of your family upon your death. 

Charitable Remainder Trusts

Charitable remainder trusts (CRT) are irrevocable trusts that give you the opportunity to donate money to the causes and organizations that matter to you while at the same time providing you with tax benefits. With a CRT, you make contributions to the trust, which then pays you (or other beneficiaries) income for a specified period or for life. At the trust's termination or upon your death, the remaining assets go to your chosen charity or charities. 

Call a Fort Worth, TX Estate Planning Lawyer

When you sit down to think about your estate plan, an experienced Fort Worth, TX estate planning attorney can advise you on the ways that trusts can help you safeguard your family’s assets. At Gonzalez Law, PLLC we help clients plan for the future with wills, trusts and other estate planning documents. Call the law firm at 817-349-7330 for a free consultation.